One of the questions I always get asked is, “Why would you pay for a credit card?”… That answer is pretty easy given the above title. This year I earned over $2,000 in savings from my American Express offers and an additional $9,200 worth of points. If we take out the $1,000 in annual fees, we are still profiting over $10,000 without even touching the numerous benefits these cards give me. Let’s take a look at how I calculated these numbers.
American Express Membership Reward Points
The largest portion of my savings is obviously the points that I accumulated this year through everyday spending, offers, and referrals. This year I earned 460,000 points across my American Express Gold and American Express Platinum cards which provides me with a value of $9,200 if used correctly at a 2 cents per point valuation. Achieving 2 cents per point is rather easy if you are looking to either transfer to travel partners or booking directly through American Express Travel, however mileage may vary depending on what you plan on using your points for. I personally am hoarding points for travel once the world opens up again as this is the best way to achieve your greatest point valuation. Most likely I will use a large portion of these for a first class or business class flight for a nice vacation with my wife, however since they don’t expire I will just let them accumulate.
American Express Offers
One of the least used Amex benefits is arguably the Amex Offers section of your credit card. American Express provides you with either additional points or money back in the form of a statement credit once you use the offer. This year I saved over $2000 between my American Express cards with some pretty great offers including, spend $100 get $100 back at Best Buy and Home Depot. This is essentially free money for purchases you are already going to make, so why not earn money back! The above screen shot is from my American Express Platinum card, and I earned an additional $1,000 between my American Express Gold, American Express Business Gold, and Hilton Aspire card. The offers alone covered all annual fees plus additional savings, ensuring I am receiving positive value for all my cards.
If you aren’t playing the points game yet, why not? There a few things in life that a free, however if you aren’t letting your money work for you then you are missing out! Drop a comment below if you are interested in starting your journey or why you are hesitant.
Wishing you a prosperous and healthy 2022!
The Points Authority: Mastering The Points Game 